Lumos Diagnostics Holdings Limited (ASX: LDX) has announced the completion of a A$20.0 million placement to institutional investors. Lumos Diagnostics is a leading point of care diagnostics company focused on improving the diagnosis and management of acute infectious and inflammatory conditions. The placement was strongly supported by both existing and new institutional investors, reflecting confidence in the company’s growth strategy.
In addition to the placement, Lumos Diagnostics will launch a Share Purchase Plan (SPP) to raise approximately A$2.0 million. This SPP provides eligible shareholders with the opportunity to participate in the company’s growth. Existing shareholders Tenmile and Ryder Capital have also confirmed they will exercise at least a combined 43.9 million options, providing Lumos with a further A$3.1 million.
The proceeds from the placement and SPP will be used to support the US commercialisation of FebriDx® following its 510(k) clearance with CLIA waiver from the US FDA. Funds will also be allocated to expanding manufacturing capacity, sales, marketing, and medical implementation support for the US point-of-care market. Lumos anticipates that this will accelerate its ability to tap into a US$1.0+ billion market opportunity, representing a significant market expansion for FebriDx®.
According to Lumos, the granting of a CLIA waiver for FebriDx® by the US FDA marks a transformative moment for the management of acute respiratory infections in the US healthcare system. CEO Doug Ward stated that the additional capital strengthens the company’s balance sheet, enabling the scaling up of manufacturing, sales, and marketing capacity to commence the broader commercialisation of FebriDx® in the United States.
